Gross sales vs. fees

When a customer pays you through a processor like Stripe, Square, or a POS, the amount deposited in your bank is net. That means gross sales minus processor fees and any refunds.

If we only counted the deposit, your revenue would look too low. You would also miss a real, deductible expense.

So we record the full gross sales as revenue and the processing fees as an expense. That's why we ask for the processor's own report, not just the bank deposit.

A simple example

Say a customer pays $100 by card.

Your processor may keep a $3 fee and deposit $97 into your bank.

If the books only use the bank deposit, your revenue would show $97. But the real sale was $100, and the $3 fee was a cost of processing the payment.

The better bookkeeping picture is:

• $100 gross sales;
• $3 processing fee expense;
• $97 bank deposit.

Why Uplinq asks for processor reports

The bank feed usually shows only the deposit. Your processor report can show what happened before the deposit reached the bank.

That may include:

• gross sales;
• processor fees;
• refunds;
• tips;
• sales tax collected;
• chargebacks;
• payouts that combine several days of sales.

Common processors

This applies to tools like:

• Stripe;
• Square;
• Shopify;
• Toast;
• Clover;
• PayPal;
• merchant services through your bank.

If your processor is not listed, the idea is the same. Send the report your processor provides and Uplinq will review it.

What to upload

Upload the processor statement or sales report for the period Uplinq requested. If the report has several export options, choose the one that shows gross sales, fees, refunds, and payouts.

What's next